IFRS AT A GLANCE As at 1 January 2017

IFRS AT A GLANCE As at 1 January 2017

As at 1 January 2017 IFRS AT A GLANCE IFRS at a Glance (IAAG) has been compiled to assist in gaining a high level overview of International Financial Reporting Standards (IFRSs), including International Accounting Standards and Interpretations. IAAG includes all IFRSs in issue as at 1 January 2017. If a Standard or Interpretation has been revised with a future effective date, the revised requirement has also been included and is identified by an (R) suffix. This publication has been carefully prepared, but it has been written in general terms and should be seen as broad guidance only. The publication cannot be relied upon to cover specific situations and you should not act, or refrain from acting, upon the information contained therein without obtaining specific professional advice. Please contact your respective BDO member firm to discuss these matters in the context of your particular circumstances. Neither BDO IFR Advisory Limited, Brussels Worldwide Services BVBA, BDO International Limited and/or BDO member firms, nor their respective partners, employees and/or agents accept or assume any liability or duty of care for any loss arising from any action taken or not taken by anyone in reliance on the information in this publication or for any decision based on it. Service provision within the international BDO network of independent member firms ( the BDO network ) in connection with IFRS (comprising International Financial Reporting Standards, International Accounting Standards, and Interpretations developed by the IFRS Interpretations Committee and the former Standing Interpretations Committee), and other documents, as issued by the International Accounting Standards Board, is provided by BDO IFR Advisory Limited, a UK registered company limited by guarantee. Service provision within the BDO network is coordinated by Brussels Worldwide Services BVBA, a limited liability company incorporated in Belgium with its statutory seat in Brussels. Each of BDO International Limited (the governing entity of the BDO network), Brussels Worldwide Services BVBA, BDO IFR Advisory Limited and the member firms is a separate legal entity and has no liability for another such entity s acts or omissions. Nothing in the arrangements or rules of the BDO network shall constitute or imply an agency relationship or a partnership between BDO International Limited, Brussels Worldwide Services BVBA, BDO IFR Advisory Limited and/or the member firms of the BDO network. BDO is the brand name for the BDO network and for each of the BDO member firms. 2017 BDO IFR Advisory Limited, a UK registered company limited by guarantee. All rights reserved. www.bdo.global 2

As at 1 January 2017 IFRSs Standard Standard Name Page IFRS 1 First-time Adoption of International Financial Reporting Standards 1 July 2009 6 IFRS 2 Share-based Payment 1 January 2005 7 IFRS 3 Business Combinations 1 July 2009 8 IFRS 4 Insurance Contracts 1 January 2005 9 IFRS 5 Non-current Assets Held for Sale and Discontinued Operations 1 January 2005 10 IFRS 6 Exploration for and Evaluation of Mineral Resources 1 January 2006 11 IFRS 7 Financial Instruments - Disclosures 1 January 2007 12 IFRS 8 Operating Segments 1 January 2009 13 IFRS 9 Financial Instruments 1 January 2015 14 IFRS 10 Consolidated Financial Statements 1 January 2013 19 IFRS 11 Joint Arrangements 1 January 2013 21 IFRS 12 Disclosure of Interests in Other Entities 1 January 2013 23 IFRS 13 Fair Value Measurement 1 January 2013 25 IFRS 14 Regulatory Deferral Accounts 1 January 2016 27 IFRS 15 Revenue from Contracts with Customers 1 January 2018 28 IFRS 16 Leases 1 January 2019 32 IAS 1 Presentation of Financial Statements 1 January 2005 35 IAS 2 Inventories 1 January 2005 36 IAS 7 Statement of Cash Flows 1 January 1994 37 IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors 1 January 2005 38 IAS 10 Events After the Reporting Period 1 January 2005 39 IAS 11 Construction Contracts 1 January 1995 40 IAS 12 Income Taxes 1 January 1998 41 IAS 16 Property, Plant and Equipment 1 January 2005 42 IAS 17 Leases 1 January 2005 43 IAS 18 Revenue 1 January 1995 44 IAS 19 Employee Benefits 1 January 2013 45 IAS 20 Accounting for Government Grants and Disclosure of Government Assistance 1 January 1984 46 IAS 21 The Effects of Changes in Foreign Exchange Rates 1 January 2005 47 IAS 23 Borrowing Costs 1 January 2009 48 IAS 24 Related Party Disclosures 1 January 2011 49 IAS 26 Accounting and Reporting by Retirement Benefit Plans 1 January 1988 51 IAS 27 Separate Financial Statements 1 January 2013 52 IAS 28 Investments in Associates and Joint Ventures 1 January 2013 53 IAS 29 Financial Reporting in Hyperinflationary Economies 1 January 2007 54 IAS 32 Financial Instruments - Presentation 1 January 2005 55 IAS 33 Earnings per Share 1 January 2005 56 3

As at 1 January 2017 IFRSs Standard Standard Name Page IAS 34 Interim Financial Reporting 1 January 1999 57 IAS 36 Impairment of Assets 1 January 2004 58 IAS 37 Provisions, Contingent Liabilities and Contingent Assets 1 January 1999 59 IAS 38 Intangible Assets 31 March 2004 60 IAS 39 Financial Instruments - Recognition and Measurement 1 January 2005 61 IAS 40 Investment Property 1 January 2005 65 IAS 41 Agriculture 1 January 2003 66 IFRICs Interpretation Interpretation Name Page IFRIC 1 IFRIC 2 IFRIC 4 IFRIC 5 IFRIC 6 IFRIC 7 Changes in Existing Decommissioning, Restoration and Similar Liabilities Members Shares in Co-operative Entities and Similar Instruments Determining whether an Arrangement contains a Lease Rights to Interests arising from Decommissioning, Restoration and Environmental Rehabilitation Funds Liabilities arising from Participation in a Specific Market - Waste Electrical and Electronic Equipment Applying the Restatement Approach under IAS 29 Financial Reporting in Hyperinflationary Economies 1 September 2004 67 1 January 2005 68 1 January 2006 69 1 January 2006 70 1 December 2005 71 1 March 2006 72 IFRIC 9 Reassessment of Embedded Derivative 1 June 2006 73 IFRIC 10 Interim Financial Reporting and Impairment 1 November 2006 74 IFRIC 12 Service Concession Arrangements 1 January 2008 75 IFRIC 13 Customer Loyalty Programmes 1 July 2008 76 IFRIC 14 IAS 19 - The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction 1 January 2008 77 IFRIC 15 Agreements for the Construction of Real Estate 1 January 2009 78 IFRIC 16 Hedges of a Net Investment in a Foreign Operation 1 October 2008 79 IFRIC 17 Distribution of Non-Cash Assets to Owners 1 July 2009 80 IFRIC 18 Transfers of Assets from Customers 1 July 2009 81 IFRIC 19 Extinguishing Financial Liabilities with Equity Instruments 1 July 2010 82 IFRIC 20 Stripping Costs in the Production Phase of a Surface Mine 1 January 2013 83 IFRIC 21 Levies 1 July 2014 84 IFRIC 22 Foreign Currency Transactions and Advance Consideration 1 January 2017 85 4

As at 1 January 2017 SICs Interpretation Interpretation Name Page SIC-7 Introduction of the Euro 1 June 1998 86 SIC-10 Government Assistance - No Specific Relation to Operating Activities 1 January 1998 87 SIC-15 Operating Leases - Incentives 1 January 1999 88 SIC-25 SIC-27 Income Taxes - Changes in the Tax Status of an Entity or its Shareholders Evaluating the Substance of Transactions Involving the Legal Form of a Lease 15 July 2000 89 31 December 2001 90 SIC-29 Service Concession Arrangements - Disclosure 31 December 2001 91 SIC-31 Revenue - Barter Transactions Involving Advertising Services 31 December 2001 92 SIC-32 Intangible Assets - Website Costs 25 March 2002 93 5

SCOPE IFRS 1 First-time Adoption of IFRSs GENERAL REQUIREMENTS Periods beginning on or after 1 July 2009 IFRS 1 does not apply to entities already reporting under IFRSs IFRS 1 applies to the first set of financial statements that contain an explicit and unreserved statement of compliance with IFRSs IFRS 1 applies to any interim financial statements for a period covered by those first financial statements that are prepared under IFRSs. Select IFRS accounting policies using either: - IFRSs that are currently effective; or - One or more IFRSs that are not yet effective, if those new IFRS permit early adoption. Recognise/derecognise assets and liabilities where necessary so as to comply with IFRSs Reclassify items that the entity recognised under previous accounting framework as one type of asset, liability or component of equity, but are a different type of asset, liability or component of equity under IFRS Re-measure all assets and liabilities recognised under IFRSs. OPTIONAL EXEMPTIONS IFRS 1 does not permit these to be applied by analogy to other items An entity may elect to use one or more of the following exemptions, which provide specific relief, on adoption of IFRSs: Business combinations Specific Share-based quantitative payment disclosure transactions requirement Insurance contracts Fair value or revaluation as deemed cost Use of revalued amount as deemed cost for event driven fair values between transition date and date of the first IFRSs reporting period Deemed cost for assets used in operations subject to rate regulation Leases Cumulative translation differences Investments in subsidiaries, jointly controlled entities and associates Assets and liabilities of subsidiaries, associates and joint ventures Compound financial instruments Designation of previously recognised financial instruments Fair value measurement of financial assets/liabilities at initial recognition Decommissioning liabilities included in the cost of property, plant and equipment Financial assets or intangible assets accounted for in accordance with IFRIC 12 Service Concession Arrangements Borrowing costs Transfers of assets from customers accounted for in accordance with IFRIC 18 Transfers of Assets from Customers Extinguishing financial liabilities with equity instruments accounted for in accordance with IFRIC 19 -Extinguishing Financial Liabilities with Equity Instruments Joint arrangements Severe hyperinflation Government loans Stripping costs in the production phase of a surface mine in accordance with IFRIC 20 Stripping Costs in the Production Phase of a Surface Mine. RECOGNITION AND MEASUREMENT MANDATORY EXCEPTIONS IFRS 1 prohibits retrospective application in relation to the following: Estimates Derecognition of financial assets and financial liabilities Hedge accounting Non-controlling interests. ACCOUNTING POLICIES Use the same accounting policies in the opening IFRS statement of financial position and throughout all periods presented in the first IFRS financial statements Those accounting policies have to comply with each IFRS effective at the end of the first IFRS reporting period. Changes in accounting policies during first year of IFRS If, between the date of an entity s interim financial report (prepared in accordance with IAS 34 Interim Financial Reporting) and the issue of its first annual IFRS financial statements, and entity changes accounting policies and/or adopts exemptions: The requirements of IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors do not apply The reconciliation between IFRSs and previous GAAP has to be updated. REPEAT APPLICATION OF IFRS 1 An entity that has applied IFRSs in a previous reporting period, but whose most recent previous annual financial statements do not contain an explicit and unreserved statement of compliance with IFRSs, must either apply IFRS 1 or else apply IFRSs retrospectively in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors. OPENING IFRS STATEMENT OF FINANCIAL POSITION An opening IFRS Statement of Financial Position is prepared at the date of transition All IFRSs are applied consistently across all reporting periods in the entity s first set of IFRS compliant financial statements (i.e. both the comparatives and the current reporting period) If a standard is not yet mandatory but permits early application, an entity is permitted, but not required, to apply that Standard in its first IFRS set of financial statements. PRESENTATION AND DISCLOSURE An entity s first set of financial statements are required to present at least three statements of financial position and two statements each of statements of comprehensive income, income statements (if presented), statements of cash flows and statements of changes in equity, related notes and in relation to the adoption of IFRSs, the following: A reconciliation of equity reported under previous accounting framework to equity under IFRSs: - At the date of transition to IFRSs - At the end of the latest period presented in the entity s most recent annual financial statements under previous accounting framework. A reconciliation of total comprehensive income reported under previous accounting framework to total comprehensive income under IFRSs for the entity s most recent annual financial statements under previous accounting framework Interim financial reports: - In addition to the reconciliations above, the entity is also required to provide: o A reconciliation of equity reported under its previous accounting framework to equity under IFRSs at the end of the comparable interim period, and o A reconciliation of total comprehensive income reported under its previous accounting framework to total comprehensive income under IFRSs for the comparative interim period, and o Explanations of the transition from its previous accounting framework to IFRS. Any errors made under the previous accounting framework must be separately distinguished Additional disclosure requirements are set out in IFRS 1. 6

IFRS 2 applies to all share-based payment transactions, which are defined as follows: Equity-settled, in which the entity receives goods or services as consideration for equity instruments of the entity (including shares or share options) Cash-settled, in which the entity receives goods or services by incurring a liability to the supplier that is based on the price (or value) of the entity s shares or other equity instruments of the entity Transactions in which the entity receives goods or services and either the entity or the supplier of those goods or services have a choice of settling the transaction in cash (or other assets) or equity Specific instruments. quantitative disclosure requirements: IFRS 2 Share-based Payment SCOPE IFRS 2 does not apply to: Transactions in which the entity acquires goods as part of the net assets acquired in a business combination to which IFRS 3 Business Combinations applies Share-based payment transactions in which the entity receives or acquires goods or services under a contract within the scope of IAS 32 Financial Instruments: Presentation and IAS 39 Financial Instruments: Recognition and Measurement Transactions with an employee in his/her capacity as a holder of equity instruments. IFRS 2 also applies to transfers by shareholders to parties (including employees) that have transferred goods or services to the entity. This would include transfers of equity instruments of the entity or fellow subsidiaries by the entity s parent entity to parties that have provided goods and services IFRS 2 also applies when an entity does not receive any specifically identifiable good/services. MEASUREMENT Periods beginning on or after 1 January 2005 RECOGNITION Recognise the goods or services received or acquired in a share-based payment transaction when the goods are obtained or as the services are received Recognise an increase in equity for an equitysettled share-based payment transaction Recognise a liability for a cash-settled sharebased payment transaction When the goods or services received or acquired do not qualify for recognition as assets, recognise an expense. EQUITY-SETTLED CHOICE OF SETTLEMENT CASH-SETTLED Transactions with employees Measure at the fair value of the equity instruments granted at grant date The fair value is never remeasured The grant date fair value is recognised over the vesting period. Transactions with non-employees Measure at the fair value of the goods or services received at the date the entity obtains the goods or receives the service If the fair value of the goods or services received cannot be estimated reliably, measure by reference to the fair value of the equity instruments granted. Share-based payment transactions where there is a choice of settlement If the counterparty has the right to choose whether a share-based payment transaction is settled in cash or by issuing equity instruments, the entity has granted a compound instrument (a cash-settled component and an equity settled component) If the entity has the choice of whether to settle in cash or by issuing equity instruments, the entity shall determine whether it has a present obligation to settle in cash and account for the transaction as cash-settled or if no such obligation exists, account for the transaction as equity-settled. Cash-settled share-based payment transactions Measure the liability at the fair value at grant date Re-measure the fair value of the liability at each reporting date and at the date of settlement, with any changes in fair value recognised in profit or loss for the period Liability is recognised over the vesting period (if applicable). VESTING CONDITIONS NON-VESTING CONDITIONS GROUP SETTLED SHARE-BASED PAYMENTS Performance condition requires counterparty to: complete a specified period of service (i.e. service condition); and fulfil specified performance targets while rendering the service. The period of service cannot extend beyond the end of the service period and may start before commencement of the service period if it is not substantially before the start of the service period. Performance targets are either defined with reference to a: Market condition Non-market condition Relates to operations of the entity or an entity within the group. Service condition requires the counterparty to complete a specified period of service. A performance target is not required to be met. Excluded from grant date fair value calculation Adjustment to the number of shares and/or vesting date amount for actual results. Included in the grant date fair value calculation No adjustment to the number of shares or vesting date amount for actual results. An entity that receives goods or services (receiving entity) in an equity-settled or a cash-settled share-based payment transaction is required to account for the transaction in its separate or individual financial statements. The entity receiving the goods or services recognises them, regardless of which entity settles the transaction, this must be on an equity-settled or a cash-settled basis assessed from the entities own perspective (this might not be the same as the amount recognised by the consolidated group) The term group has the same definition as per IFRS 10 Consolidated Financial Statements that it includes only a parent and its subsidiaries. Market condition performance condition, upon which the exercise price, the vesting or exercisability of an equity instrument depends, that is related to the market price of the entity s equity instruments (including share options) or those of another entity within the group. Included in grant date fair value calculation No adjustment to the number of shares or vesting date amount for actual results. Requires counterparty to complete a specified period of service. 7

IDENTIFYING A BUSINESS COMBINATION / SCOPE IFRS 3 Business Combinations ACQUISITION METHOD A business combination must be accounted for by applying the acquisition method. Periods beginning on or after 1 July 2009 ADDITIONAL GUIDANCE FOR APPLYING THE ACQUISITION METHOD A business combination is: Transaction or event in which acquirer obtains control over a business (e.g. acquisition of shares or net assets, legal mergers, reverse acquisitions). IFRS 3 does not apply to: The accounting for the formation of a joint arrangement in the financial statements of the joint arrangement itself. Acquisition of an asset or group of assets that is not a business. A combination of entities or businesses under common control. Definition of control of an investee An investor controls an investee when the investor is Specific exposed, quantitative or has rights, to disclosure variable returns requirements: from its involvement with the investee and has the ability to affect those returns through its power over the investee. Control (refer to IFRS 10) Ownership of more than half the voting right of another entity Power over more than half of the voting rights by agreement with investors Power to govern the financial and operating policies of the other entity under statute/ agreement Power to remove/appoint majority of directors Power to cast majority of votes. Definition of a Business Integrated set of activities and assets Capable of being conducted and managed to provide return Returns include dividends and cost savings. Acquisition Costs Cannot be capitalised, must instead be expensed in the period they are incurred Costs to issue debt or equity are recognised in accordance with IAS 32 and IFRS 9. STEP 1: IDENTIFY ACQUIRER IFRS 10 Consolidated Financial Statements is used to identify the acquirer the entity that obtains control of the acquiree. STEP 4: RECOGNITION AND MEASUREMENT OF GOODWILL OR A BARGAIN PURCHASE Goodwill is recognised as the excess between: - The aggregate of the consideration transferred, any non-controlling interest in the acquiree and, in a business combination achieved in stages, the acquisition-date fair value of the acquirer s previously held equity interest in the acquiree - The identifiable net assets acquired (including any deferred tax balances) Goodwill can be grossed up to include the amounts attributable to NCI, that is the case when NCI is measured at their acquisition date fair value. A gain from a bargain purchase is immediately recognised in profit or loss The consideration transferred in a business combination (including any contingent consideration) is measured at fair value Contingent consideration is either classified as a liability or an equity instrument on the basis of IAS 32 Financial Instruments Contingent consideration that is within the scope of IFRS 9 (classified as a financial liability) needs to be remeasured at fair value at each reporting date with changes reported in profit or loss. The acquirer should consider if the consideration includes amounts attributable to other transactions within the contract (pre- existing relationship, arrangements that remunerate employees etc.). STEP 2: DETERMING THE ACQUISITION DATE The date which the acquirer obtains control of the acquiree. STEP 3: RECOGNITION AND MEASUREMENT OF ASSETS, LIABILITIES AND NON- CONTROLLING INTERESTS (NCI) As of the acquisition date, the acquirer recognises, separately from goodwill: - The identifiable assets acquired - The liabilities assumed - Any NCI in the acquiree The acquired assets and liabilities are required to be measured at their acquisition-date fair values There are certain exceptions to the recognition and/or measurement principles which cover contingent liabilities, income taxes, employee benefits, indemnification assets, reacquired rights, share-based payments and assets held for sale. NCI interests that are present ownership interests and entitle their holders to a proportionate share of the entity s net assets in the event of liquidation (e.g. shares) are measured at acquisition-date fair value or at the NCI s proportionate share in net assets All other components of NCI (e.g. from IFRS 2 Share-based payments or calls) are required to be measured at their acquisition-date fair values STEP ACQUISTION An acquirer sometimes obtains control of an acquiree in which it held an equity interest immediately before the acquisition date. This is known as a business combination achieved in stages or as a step acquisition Obtaining control triggers re-measurement of previous investments (equity interests) The acquirer remeasures its previously held equity interest in the acquiree at its acquisition-date fair value. Any resulting gain/loss is recognised in profit or loss. BUSINESS COMBINATION WITHOUT TRANSFER OF CONSIDERATION The acquisition method of accounting for a business combination also applies if no consideration is transferred. Such circumstances include: - The acquiree repurchases a sufficient number of its own shares for an existing investor (the acquirer) to obtain control - Minority veto rights lapse that previously kept the acquirer from controlling an acquiree in which the acquirer held the majority voting rights - The acquirer and the acquiree agree to combine their businesses by contract alone. SUBSEQUENT MEASUREMENT AND ACCOUNTING In general, after the date of a business combination an acquirer measures and accounts for assets acquired and liabilities assumed or incurred in accordance with other applicable IFRSs. However, IFRS 3 includes accounting requirements for reacquired rights, contingent liabilities, contingent consideration and indemnification assets. 8

IFRS 4 Insurance Contracts SCOPE Periods beginning on or after 1 January 2005 This Standard applies to: Insurance contracts that an entity issues and reinsurance contracts that it holds Financial instruments that an entity issues with a discretionary participation feature. Specific If insurance quantitative contracts disclosure requirements: include a deposit component, unbundling may be required. The following are examples of contracts that are insurance contracts, if the transfer of insurance risk is significant: Insurance against theft or damage to property Insurance against product liability, professional liability, civil liability or legal expenses Life insurance and prepaid funeral expenses Life-contingent annuities and pensions Disability and medical cover Surety bonds, fidelity bonds, performance bonds and bid bonds Credit insurance that provides for specified payments to be made to reimburse the holder for a loss it incurs because a specified debtor fails to make payment when due Product warranties (other than those issued directly by a manufacturer, dealer or retailer) Title insurance Travel assistance Catastrophe bonds that provide for reduced payments of principal, interest or both if a specified event adversely affects the issuer of the bond Insurance swaps and other contracts that require a payment based on changes in climatic, geological or other physical variables that are specific to a party to the contract Reinsurance contracts. The following are examples of items that are not insurance contracts: Investment contracts that have the legal form of an insurance contract but do not expose the insurer to significant risk Contracts that pass all significant insurance risk back to the policyholder Self-insurance i.e. retaining a risk that could have been covered by insurance Gambling contracts Derivatives that expose one party to financial risk but not insurance risk A credit-related guarantee Product warranties issued directly by a manufacturer, dealer or retailer Financial guarantee contracts accounted for under IAS 39 Financial Instruments: Recognition and Measurement. Does not address the accounting for financial assets held by insurers, but Temporary exemption from the requirement to apply IFRS 9 is available; and Overlay approach permitted for designated financial assets. LIABILITY ADEQUACY TEST An insurer is required to assess at the end of each reporting period whether its recognised insurance liabilities are adequate, using current estimates of future cash flows under its insurance contracts. If that assessment shows that the carrying amount of its insurance liabilities is not sufficient, the liability is increased and a corresponding expense is recognised in profit or loss. AREAS OF ADDITIONAL GUIDANCE OPENING IFRS STATEMENT OF FINANCIAL POSITION Additional guidance is provided in IFRS 4 in relation to: Changes in accounting policies Prudence Insurance contracts acquired in a business combination or portfolio transfer Discretionary participation features. It is highly recommended that insurers gain a full understanding of IFRS 4 as requirements and disclosures are onerous. Additional guidance is provided in appendices A and B.RECOGNITION AND MEASUREMENT An insurer is required to disclose information that identifies and explains the amounts arising from insurance contracts: Its accounting policies for insurance contracts and related assets, liabilities, income and expense Recognised assets, liabilities, income and expense The process used to determine the assumptions that have the greatest effect on measurement The effect of any changes in assumptions Reconciliations of changes in liabilities and assets. ACCOUNTING POLICIES DISCLOSURE An insurer is required to disclose information that enables user of its financial statement to evaluate the nature and extent of risks arising from insurance contracts: Its objectives, policies and processes for managing risks Information about insurance risk Information about credit risk, liquidity risk and market risk Information about exposures to market risk arising from embedded derivatives. 9

DEFINITIONS IFRS 5 Non-current Assets Held for Sale and Discontinued Operations SCOPE Periods beginning on or after 1 January 2005 Cash-generating unit The smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. Discontinued operation A component of an entity that either has been disposed of or is classified as held for sale and either: Represents a separate major line of business or geographical area Is part of a single co-ordinated plan to dispose of a separate major line of business or geographical area of operations Is a subsidiary acquired exclusively with a view to resale. CLASSIFICATION OF NON-CURRENT ASSETS (OR DISPOSAL Specific quantitative disclosure requirements: GROUPS) HELD FOR SALE OR DISTRIBUTION TO OWNERS Classify a non-current asset (or disposal group) as held for sale if its carrying amount will be recovered principally through a sale transaction rather than through continuing use. The following criteria must be met: The asset (or disposal group) is available for immediate sale The terms of asset sale must be usual and customary for sales of such assets The sale must be highly probable Management is committed to a plan to sell the asset Asset must be actively marketed for a sale at a reasonable price in relation to its current fair value Sale should be completed within one year from classification date Sale transactions include exchanges of non-current assets for other noncurrent assets when the exchange has commercial substance in accordance with IAS 16 Property, Plant and Equipment When an entity acquires a non-current asset exclusively with a view to its subsequent disposal, it shall classify the non-current asset as held for sale at the acquisition date only if the one year requirement is met There are special rules for subsidiaries acquired with a view for resale. Note: The classification criteria also apply to non-current assets (or disposal groups) held for distribution to owners. A reclassification from held for sale to held for distribution to owners is not a change to a plan and therefore not a new plan. DISCONTINUED OPERATIONS Classification as a discontinued operation depends on when the operation also meets the requirements to be classified as held for sale Results of discontinued operations are presented as a single amount in the statement of comprehensive income. An analysis of the single amount is presented in the notes or in the statement of comprehensive income Cash flow disclosure is required either in the notes or statement of cash flows Comparatives are restated. Applies to all recognised non-current assets and disposal groups of an entity that are: held for sale; or held for distribution to owners. Assets classified as non-current in accordance with IAS 1 Presentation of Financial Statements shall not be reclassified as current assets until they meet the criteria of IFRS 5 If an entity disposes of a group of assets, possibly with directly associated liabilities (i.e. an entire cash-generating unit), together in a single transaction, if a non-current asset in the group meets the measurement requirements in IFRS 5, then IFRS 5 applies to the group as a whole. The entire group is measured at the lower of its carrying amount and fair value less costs to sell Non-current assets to be abandoned cannot be classified as held for sale. Exclusions to measurement requirements of IFRS 5. Disclosure requirements still to be complied with: Deferred tax assets (IAS 12 Income Taxes) Assets arising from employee benefits (IAS 19 Employee Benefits) Financial assets in the scope of IAS 39 Financial Instruments: Recognition and Measurement / IFRS 9 Financial Instruments Non-current assets that are accounted for in accordance with the fair value model (IAS 40 Investment Property) Non-current assets that are measured at fair value less estimated point of sale costs (IAS 41 Biological Assets) Contractual rights under insurance contracts (IFRS 4 Insurance Contracts). MEASUREMENT Immediately prior to classification as held for sale, carrying amount of the asset is measured in accordance with applicable IFRSs After classification, it is measured at the lower of carrying amount and fair value less costs to sell. Assets covered under certain other IFRSs are scoped out of measurement requirements of IFRS 5 see above Impairment must be considered at the time of classification as held for sale and subsequently Subsequent increases in fair value cannot be recognised in profit or loss in excess of the cumulative impairment losses that have been recognised with this IFRS or with IAS 36 Impairment of Assets Non-current assets (or disposal groups) classified as held for sale are not depreciated Adjustment of number of shares and/or vesting date amount for actual results. DISCLOSURE Non-current assets (or a disposal group) held for sale are disclosed separately from other assets in the statement of financial position. If there are any liabilities, these are disclosed separately from other liabilities Description of the nature of assets (or disposal group) held for sale and facts and circumstances surrounding the sale A gain or loss resulting from the initial or subsequent fair value measurement of the disposable group or non-current asset held for sale if not presented separately in the statement of comprehensive income and the line item that includes that gain or loss Prior year balances in the statement of financial positions are not reclassified as held for sale If applicable, the reportable segment (IFRS 8) in which the non-current asset or disposable group is presented. 10

IFRS 6 Exploration for and Evaluation of Mineral Resources Periods beginning on or after 1 January 2006 SCOPE MEASUREMENT AT RECOGNITION An entity applies IFRS 6 to exploration and evaluation expenditures that it incurs An entity does not apply IFRS 6 to expenditures incurred: - Before the exploration for and evaluation of mineral resources, such as expenditures incurred before the entity has obtained the legal rights to explore a specific area - After the technical feasibility and commercial viability of extracting a mineral resource are demonstrable. Specific quantitative disclosure requirements: PRESENTATION An entity classifies exploration and evaluation assets as tangible or intangible according to the nature of the assets acquired and applies the classification consistently. CHANGES IN ACCOUNTING POLICYOPTIONAL EXEMPTIONS An entity may change its accounting policies for exploration and evaluation expenditures if the change makes the financial statements more relevant and no less reliable to the economic decision-making needs of users, or more reliable and no less relevant to those needs. DISCLOSURE An entity discloses information that identifies and explains the amounts recognised in its financial statements arising from the exploration for and evaluation of mineral resources. An entity discloses: Its accounting policies for exploration and evaluation expenditures and evaluation assets The amounts of assets, liabilities, income and expense and operating and investing cash flows arising from the exploration for and evaluation of mineral resources. Exploration and evaluation assets are disclosed as a separate class of assets in the disclosures required by IAS 16 Property, Plant and Equipment or IAS 38 Intangible Assets. At recognition, exploration and evaluation assets are measured at cost. ELEMENTS OF COST OF EXPLORATION AND EVALUATION ASSETS An entity determines an accounting policy specifying which expenditures are recognised as exploration and evaluation assets The following are examples of expenditures that might be included in the initial measurement of exploration and evaluation assets: - Acquisition of rights to explore - Topographical, geological, geochemical and geophysical studies - Exploratory drilling - Trenching - Sampling - Activities in relation to evaluating the technical feasibility and commercial viability of extracting a mineral resource. MEASUREMENT AFTER RECOGNITION After recognition, an entity applies either the cost model or the revaluation model to the exploration and evaluation assets. Refer to IAS 16 Property, Plant and Equipment and IAS 38 Intangible Assets for guidance. IMPAIRMENT One or more of the following facts and circumstances indicate that an entity should test exploration and evaluation assets for impairment: - The period for which the entity has the right to explore in the specific area has expired during the period or will expire in the near future, and is not expected to be renewed - Substantive expenditure on further exploration for and evaluation of mineral resources in the specific area is neither budgeted nor planned - Exploration for and evaluation of mineral resources in the specific area have not led to the discovery of commercially viable quantities of mineral resources and the entity has decided to discontinue such activities in the specific area - Sufficient data exists to indicate that, although a development in the specific area is likely to proceed, the carrying amount of the exploration and evaluation asset is unlikely to be recovered in full from successful development or by sale. An entity determines an accounting policy for allocating exploration and evaluation assets to cash-generating units or groups of cash-generating units for the purpose of assessing such assets for impairment. 11

IFRS 7 Financial Instruments: Disclosures DISCLOSURE REQUIREMENTS: SIGNIFICANCE OF FINANCIAL INSTRUMENTS IN TERMS OF THE FINANCIAL POSITION AND PERFORMANCE Periods beginning on or after 1 January 2007 DISCLOSURE REQUIREMENTS: NATURE AND EXTENT OF RISKS ARISING FROM FINANCIAL INSTRUMENTS AND HOW THE RISKS ARE MANAGED STATEMENT OF FINANCIAL POSITION Total carrying value of each category of financial assets and liabilities on face of the statement of financial position or in the notes Information on fair value of loans and receivables Financial liabilities designated as at fair value through profit and loss Financial assets reclassified Financial assets that do not qualify for derecognition Details of financial assets pledged as collateral & collateral held Reconciliation of allowance account for credit losses. Compound financial instruments with embedded derivatives Details of defaults and breaches of loans payable. Specific quantitative disclosure requirements: STATEMENT OF COMPREHENSIVE INCOME Gain or loss for each category of financial assets and liabilities in the statement of comprehensive income or in the notes Total interest income and interest expense (effective interest method) Fee income and expense Interest on impaired financial assets Amount of impairment loss for each financial asset. SCOPE IFRS 7 applies to all recognised and unrecognised financial instruments (including contracts to buy or sell non-financial assets) except: Interests in subsidiaries, associates or joint ventures, where IAS 27/28 or IFRS 10/11 permit accounting in accordance with IAS 39/IFRS 9 Assets and liabilities resulting from IAS 19 Insurance contracts in accordance with IFRS 4 (excluding embedded derivatives in these contracts if IAS 39/IFRS 9 require separate accounting) Financial instruments, contracts and obligations under IFRS 2, except contracts within the scope of IAS 39/IFRS 9 Puttable instruments (IAS 32.16A-D). OTHER Accounting policies: All relevant accounting policies. Include measurement basis. Hedge accounting: Description of hedge, description and fair value of hedged instrument and type of risk hedged Details of cash flow hedges, fair value hedges and hedge of net investment in foreign operations. Fair value: Fair value for each class of financial asset and liability Disclose method and relevant assumptions to calculate fair value Disclose if fair value cannot be determined. FAIR VALUE (FV) HIERARCHY Qualitative disclosure Exposure to risk and how it arises Objectives, policies and processes for managing risk and method used to measure risk. All financial instruments measured at fair value must be classified into the levels below (that reflect how fair value has been determined): Level 1: Quoted prices, in active markets Level 2: Level 1 quoted prices are not available but fair value is based on observable market data Level 3: Inputs that are not based on observable market data. A financial Instrument will be categorised based on the lowest level of any one of the inputs used for its valuation. The following disclosures are also required: Significant transfers of financial instruments between each category and reasons why For level 3, a reconciliation between opening and closing balances, incorporating; gains/losses, purchases/sales/settlements, transfers Amount of gains/losses and where they are included in profit and loss For level 3, if changing one or more inputs to a reasonably possible alternative would result in a significant change in FV, disclose this fact. Quantitative disclosure Summary of quantitative data about exposure to risk based on information given to key management Concentrations of risks. SPECIFIC QUANTITATIVE DISCLOSURE REQUIREMENTS LIQUIDITY RISK CREDIT RISK MARKET RISK Definition: The risk that an entity will encounter difficulty in meeting obligations associated with financial liabilities. Maturity analysis for financial liabilities that shows the remaining contractual maturities Appendix B10A B11F Time bands and increment are based on the entities judgement How liquidity risk is managed. Definition: The risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. Maximum exposure to credit risk without taking into account collateral Collateral held as security and other credit enhancements Information of financial assets that are either past due (when a counterparty has failed to make a payment when contractually due) or impaired Information about collateral and other credit enhancements obtained. Definition: The risk that the fair value or future cash flows of a financial instrument will fluctuate due to changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk. A sensitivity analysis (including methods and assumptions used) for each type of market risk exposed, showing impact on profit or loss and equity or If a sensitivity analysis is prepared by an entity, showing interdependencies between risk variables and it is used to manage financial risks, it can be used in place of the above sensitivity analysis. TRANSFER OF FINACIAL ASSETS Information for transferred assets that are and that are not derecognised in their entirety: Information to understand the relationship between financial assets and associated liabilities that are not derecognised in their entirety Information to evaluate the nature and risk associated with the entities continuing involvement in derecognised assets (IFRS 7.42A-G). 12

CORE PRINCIPLE IFRS 8 Operating Segments SCOPE Periods beginning on or after 1 January 2009 An entity is required to disclose information to enable users of its financial statements to evaluate the nature and financial effects of the business activities in which it engages and the economic environments in which it operates. QUANTITATIVE THRESHOLDS Information is required to be disclosed separately about an operating segment that meets any of the following quantitative thresholds: - Its reported revenue, including both sales to external customers and intersegment sales or transfers, is 10 per cent or more of the combined revenue, internal and external, of all operating segments - The absolute amount of its reported profit or loss is 10 per cent or more of the greater, in absolute amount, of: o The combined reported profit of all operating segments that did not report a loss; and o The combined reported loss of all operating segments that reported a loss. - Its assets are 10 per cent or more of the combined assets of all operating segments. If the total external revenue reported by operating segments constitutes less than 75% of the total revenue, additional operating segments shall be identified as reportable segments until at least 75% of the entity s revenue is included in reportable segments. Specific quantitative disclosure requirements: AGGREGATION CRITERIA Two or more operating segments may be aggregated if the segments are similar in each of the following respects: The nature of the products and services The nature of the production processes The type or class of customer for their products and services The methods used to distribute their products or provide their services The nature of the regulatory environment. OPERATING SEGMENTS An operating segment is a component of an entity: That engages in business activities from which it may earn revenues and incur expenses Whose operating results are regularly reviewed by the entity s chief operating decision maker (CODM) to make decisions about resources to be allocated to the segment and assess its performance For which discrete financial information is available. REPORTABLE SEGMENTS Information is required to be disclosed separately about each identified operating segment and aggregated operating segments that exceed the quantitative thresholds. DEFINITION OF THE CODM The CODM is the individual or group of individuals who is/are responsible for strategic decision making regarding the entity. That is, the CODM allocates resources and assess the performance of the operating segments. IFRS 8 applies to the annual and interim financial statements of an entity. It applies to the separate or individual financial statements of an entity and to the consolidated financial statements of a group with a parent: Whose debt or equity instruments are traded in a public market; or That files, or is in the process of filing, its financial statements with a securities commission or other regulatory organisation for the purpose of issuing any class of instruments in a public market. DISCLOSURE Major disclosures include: An entity shall report a measure of profit or loss and total assets for each reportable segment only if this information is regularly provided to the CODM Other disclosures are required regarding each reportable segment if specific amounts are reported to the CODM Judgements made by management for the purposes of aggregation of operating segments - Description of the operating segments that have been aggregated - Economic indicators considered in determining that segments share similar economic characteristics. Operating segment information disclosed is not necessarily IFRS compliant information, as it is based on amounts reported internally Operating segment information disclosed must be reconciled back to IFRS amounts disclosed in the financial statements An entity reports the following geographical information if available: - Revenues from external customers, both attributed to the entity s country of domicile and attributed to all foreign countries - Non-current assets (except financial instruments, deferred tax assets, post-employment benefit assets and rights arising under insurance contracts) located both in the entity s country of domicile and in foreign countries - The amounts reported are based on the financial information that is used to produce the entity s financial statements. An entity provides information about the extent of its reliance on its major customers. If revenues from transactions with a single external customer amount to 10% or more of an entity s revenues, the entity discloses that fact. 13

Page 1 of 5 IFRS 9 introduces a single classification and measurement model for financial assets, dependent on both: The entity s business model objective for managing financial assets The contractual cash flow characteristics of financial assets. Initial Recognition When the entity becomes party to the contractual provisions of the instrument. Specific quantitative disclosure requirements: Initial Measurement IFRS 9 Financial Instruments BACKGROUND (PROJECT TO REPLACE IAS 39) Periods beginning on or after 1 January 2018 (earlier application is permitted) At fair value, plus for those financial assets and liabilities not classified at fair value through profit or loss, directly attributable transaction costs. Fair value - is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date Directly attributable transaction costs - incremental costs that are directly attributable to the acquisition, issue or disposal of a financial asset or financial liability. FINANCIAL ASSETS - SUBSEQUENT CLASSIFICATION AND MEASUREMENT IFRS 9 removes the requirement to separate embedded derivatives from financial asset host contracts (it instead requires a hybrid contract to be classified in its entirety at either amortised cost or fair value.) Separation of embedded derivatives has been retained for financial liabilities (subject to criteria being met). INITIAL RECOGNITION AND MEASUREMENT (FINANCIAL ASSETS AND FINANCIAL LIABILITIES) Financial Assets are classified as either: (1) Amortised cost, (2) Fair value through profit or loss, (3) Fair Value through other comprehensive income (1) Amortised cost Category classification criteria Both of the below conditions must be met: (i) Business model objective: financial assets held in order to collect contractual cash flows (ii) Contractual cash flow characteristics: solely payments of principal and interest on the principal amount outstanding. Subsequent measurement Amortised cost using the effective interest method. (i) Business model assessment Based on the overall business, not instrument-by-instrument Centres on whether financial assets are held to collect contractual cash flows: How the entity is run The objective of the business model as determined by key management personnel (KMP) (per IAS 24 Related Party Disclosures). Financial assets do not have to be held to contractual maturity in order to be deemed to be held to collect contractual cash flows, but the overall approach must be consistent with hold to collect. (ii) Contractual cash flow assessment Based on an instrument-by-instrument basis Financial assets with cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding. Interest is consideration for only the time-value of money and credit risk. FOREX financial assets: assessment is made in the denomination currency (i.e. FX movements are not taken into account). IFRS 9 contains various illustrative examples in the application of both the (i) Business Model Assessment and (ii) Contractual Cash Flow Characteristics. (3) Fair value through other comprehensive income Category classification criteria (2) Fair value through profit or loss Financial assets that do not meet the amortised cost criteria Financial assets designated at initial recognition. The option to designate is available: - If doing so eliminates, or significantly reduces, a measurement or recognition inconsistency (i.e. accounting mismatch ). Note: the option to designate is irrevocable. Subsequent measurement Fair value, with all gains and losses recognised in profit or loss. Equity Instruments Note: Designation at initial recognition is optional and irrevocable. Category classification criteria Available only for investments in equity instruments (within the scope of IFRS 9) that are not held for trading. Subsequent measurement Fair value, with all gains and losses recognised in other comprehensive income Changes in fair value are not subsequently recycled to profit and loss Dividends are recognised in profit or loss. Debt Instruments Category classification criteria meets the SPPI contractual cash flow characteristics test (see box (1)(ii) above) Entity holds the instrument to collect contractual cash flows and to sell the financial assets Subsequent measurement Fair value, with all gains and losses (other than those relating to impairment, which are included in profit or loss) being recognised in other comprehensive income Changes in fair value recorded in other comprehensive income are recycled to profit or loss on derecognition or reclassification. 14

Page 2 of 5 Scope IFRS 9 Financial Instruments IMPAIRMENT OF FINANCIAL ASSETS Initial recognition Periods beginning on or after 1 January 2018 (earlier application is permitted) The impairment requirements are applied to: Financial assets measured at amortised cost (incl. trade receivables) Financial assets measured at fair value through OCI Loan commitments and financial guarantees contracts where losses are currently accounted for under IAS 37 Provisions, Contingent Liabilities and Contingent Assets Lease receivables. The impairment model follows a three-stage approach based on changes in expected credit losses of a financial instrument that determine the recognition of impairment, and the recognition of interest revenue. At initial recognition of the financial asset an entity recognises a loss allowance equal to 12 months expected credit losses which consist of expected credit losses from default events possible within 12 months from the entity s reporting date. An exception is purchased or originated credit impaired financial assets. Subsequent measurement Stage 1 2 3 Impairment Interest 12 month expected credit loss Effective interest on the gross carrying amount (before deducting expected losses) Lifetime expected credit loss Effective interest on the net (carrying) amount STAGE 1 12 month expected credit losses (gross interest) Applicable when no significant increase in credit risk Entities continue to recognise 12 month expected losses that are updated at each reporting date Presentation of interest on gross basis THREE-STAGE APPROACH STAGE 2 Lifetime expected credit losses (gross interest) Applicable in case of significant increase in credit risk Recognition of lifetime expected losses Presentation of interest on gross basis STAGE 3 Lifetime expected credit losses (net interest) Applicable in case of credit impairment Recognition of lifetime expected losses Presentation of interest on a net basis 30 days past due rebuttable presumption Rebuttable presumption that credit risk has increased significantly when contractual payments are more than 30 days past due When payments are 30 days past due, a financial asset is considered to be in stage 2 and lifetime expected credit losses would be recognised An entity can rebut this presumption when it has reasonable and supportable information available that demonstrates that even if payments are 30 days or more past due, it does not represent a significant increase in the credit risk of a financial instrument. PRACTICAL EXPEDIENTS Low credit risk instruments Instruments that have a low risk of default and the counterparties have a strong capacity to repay (e.g. financial instruments that are of investment grade) Instruments would remain in stage 1, and only 12 month expected credit losses would be provided. Short term trade receivables SIMPLIFIED APPROACH Recognition of only lifetime expected credit losses (i.e. stage 2) Expected credit losses on trade receivables can be calculated using provision matrix (e.g. geographical region, product type, customer rating, collateral or trade credit insurance, or type of customer) Entities will need to adjust the historical provision rates to reflect relevant information about current conditions and reasonable and supportable forecasts about future expectations. Long term trade receivables and lease receivables Entities have a choice to either apply: the three-stage expected credit loss model; or the simplified approach where only lifetime expected credit losses are recognised. LOAN COMMITMENTS AND FINANCIAL GUARANTEES The three-stage expected credit loss model also applies to these off balance sheet financial commitments An entity considers the expected portion of a loan commitment that will be drawn down within the next 12 months when estimating 12 month expected credit losses (stage 1), and the expected portion of the loan commitment that will be drawn down over the remaining life the loan commitment (stage 2) For loan commitments that are managed on a collective basis an entity estimates expected credit losses over the period until the entity has the practical ability to withdraw the loan commitment. 15

Page 3 of 5 IFRS 9 Financial Instruments FINANCIAL LIABILTIES - SUBSEQUENT CLASSIFICATION AND MEASUREMENT Periods beginning on or after 1 January 2018 (earlier application is permitted) Financial Liabilities are classified as either: (1) Amortised Cost, (2) Fair value through profit or loss. In addition, specific guidance exists for: (i) Financial guarantee contracts, and (ii) Commitments to provide a loan at a below market interest rate (iii) Financial Liabilities that arise when the transfer of a financial asset either does not qualify for derecognition or where there is continuing involvement. (1) Amortised cost Category classification criteria All financial liabilities, except Category classification criteria Specific those that quantitative meet the criteria disclosure of requirements: (2), (i), and (ii). Subsequent measurement Amortised cost using the effective interest method. (2) Fair value through profit or loss (i) Financial guarantee contracts Financial liabilities held for trading Derivative financial liabilities Financial liabilities designated at initial recognition The option to designate is available: - If doing so eliminates, or significantly reduces, a measurement or recognition inconsistency (i.e. accounting mismatch ), or - If a group of financial liabilities (or financial assets and financial liabilities) is managed, and evaluated, on a fair value basis, in accordance with a documented risk management or investment strategy, and information about the group is provided internally to KMP. Subsequent measurement Fair value with all gains and losses being recognised in profit or loss. (ii) Commitments to provide a loan at a below market interest rate Subsequent measurement (the higher of either) (i) (ii) The amount determined in accordance with IAS 37 Provisions, Contingent Liabilities and Contingent Assets The amount initially recognised, less (when appropriate) cumulative amortisation recognised in accordance with IAS 18 Revenue. (iii) Financial liabilities resulting from the transfer of a financial asset (That does not qualify for derecognition) (Where there is continuing involvement) Financial liability for the consideration received is recognised. Subsequent measurement The net carrying amount of the transferred asset and associated liability is measured as either: Amortised cost of the rights and obligations retained (if the transferred asset is measured at amortised cost) The fair value of the rights and obligations retained by the entity when measured on a stand-alone basis (if the transferred asset is measured at fair value). EMBEDDED DERIVATIVES Definition and description Embedded derivatives are components of a hybrid contract (i.e. a contract that also includes a non-derivative host), that causes some (or all) of the contractual cash flows to be modified according to a specified variable (e.g. interest rate, commodity price, foreign exchange rate, index, etc.) Exclusions and exemptions (i.e. not embedded derivatives) Non-financial variables that are specific to a party to the contract. A derivative, attached to a financial instrument that is contractually transferable independently of that instrument, or, has a different counterparty from that instrument. - Instead, this is a separate financial instrument. Embedded derivatives are accounted for differently depending on whether they are within a host contract that is a financial asset or a financial liability Embedded derivatives within a financial asset host contract The embedded derivative is not separated from the host contract Instead, the whole contract in its entirety is accounted for as a single instrument in accordance with the requirements of IFRS 9. Embedded derivatives within a host contract that is a financial liability Subject to meeting the adjacent criteria, the embedded derivative is: Separated from the host contract Accounted for as a derivative in accordance with IFRS 9 (i.e. at fair value through profit or loss). Criteria: to separate an embedded derivative 1) Economic characteristics of the embedded derivative and host are not closely related 2) An identical instrument (with the same terms) would meet the definition of a derivative, and 3) The entire (hybrid) contract is not measured at fair value through profit or loss. Host contract (once embedded derivative is separated) The (non-financial asset) host contract is accounted for in accordance with the appropriate IFRS. TRANSITION Retrospective application in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors, subject to certain exemptions and reliefs (refer section 7.2 of IFRS 9). 16

Page 4 of 5 IFRS 9 Financial Instruments DERECOGNITION Periods beginning on or after 1 January 2018 (earlier application is permitted) FINANCIAL ASSETS Consolidate all subsidiaries (including special purpose entities (SPEs). Determine whether the derecognition principles below are applied to all or part of the asset. FINANCIAL LIABILITIES A financial liability is derecognised only when extinguished i.e., when the obligation specified in the contract is discharged, cancelled or it expires An exchange between an existing borrower and lender of debt instruments with substantially different terms or substantial modification of the terms of an existing financial liability of part thereof is accounted for as an extinguishment The difference between the carrying amount of a financial liability extinguished or transferred to a 3 rd party and the consideration paid is recognised in profit or loss. Have the rights to the cash flows from the asset expired? Specific quantitative disclosure requirements: NO Has the entity transferred its rights to receive the cash flows from the asset? NO YES Derecognise the asset If an entity transfers a financial asset in a transfer that qualifies for derecognition in its entirety and retains the right to service the financial asset for a fee, it recognises either a servicing asset or liability for that servicing contract If, as a result of a transfer, a financial asset is derecognised, but the entity obtains a new financial asset or assumes a new financial liability or servicing liability, the entity recognises the new financial asset, financial liability or servicing liability at fair value On derecognition of a financial asset, the difference between the carrying amount and the sum of (i) the consideration received and (ii) any cumulative gain or loss that was recognised directly in equity is recognised in profit or loss. YES Has the entity assumed an obligation to pay the cash flows from the asset that meets the conditions in IFRS 9 paragraph 3.2.5? YES Has the entity transferred substantially all risks and rewards? NO Has the entity retained substantially all risks and rewards? NO YES YES Continue to recognise the asset Derecognise the asset Continue to recognise the asset IFRS 9 paragraph 3.2.5 where an entity retains the contractual rights to receive the cash flows of a financial asset, but assumes a contractual obligation to pay those cash flows to one or more entities, three conditions need to be met before an entity can consider the additional derecognition criteria: The entity has no obligation to pay amounts to the eventual recipients unless it collects equivalent amounts from the original asset The entity is prohibited by the terms of the transfer contract from selling or pledging the original asset other than as security to the eventual recipients The entity has an obligation to remit any cash flows it collects on behalf of the eventual recipients without material delay. The entity is not entitled to reinvest the cash flows except for the short period between collection and remittance to the eventual recipients. Any interest earned thereon is remitted to the eventual recipients. NO Has the entity retained control of the asset? NO Derecognise the asset YES 17 Continue to recognise asset to the extent of the entity s continuing involvement.

Page 5 of 5 IFRS 9 Financial Instruments CRITERIA TO APPLY HEDGE ACCOUNTING (ALL CRITERIA MUST BE MET) Periods beginning on or after 1 January 2018 (earlier application is permitted) (i) Hedging Relationship Must consist of: Eligible hedging instruments Eligible hedged items. (ii) Designation and Documentation Must be formalised at the inception of the hedging relationship: The hedging relationship Risk management strategy and objective for undertaking the hedge The hedged item and hedging instrument How hedge effectiveness will be assessed. (iii) All three hedge effectiveness requirements met (a) An economic relationship exists between the hedged item and hedging instrument (b) Credit risk does not dominate changes in value (c) The hedge ratio is the is the same for both the: Hedging relationship Quantity of the hedged item actually hedged, and the quantity of the hedging instrument used to hedge it. ELIGIBLE HEDGING INSTRUMENTS Only those with from contracts with EXTERNAL parties of the entity (or group), that are: Derivatives measured at fair value through profit or loss (FVTPL). Note: this excludes written options unless they are designated as an offset to a purchased option. Non-derivatives measured at fair value through profit or loss (FVTPL). Note: this excludes FVTPL financial liabilities where fair value changes resulting from changes in own credit risk are recognised in other comprehensive income (OCI). Designation: An entity must designate a hedging instrument in full, except for: A proportion (e.g. 50%) of the nominal amount an entire hedging instrument (but not part of the fair value change resulting from a portion of the time period that the hedging instrument is outstanding) Option contracts: separating the intrinsic value and time value, and designating only the change in intrinsic value Forward contract: separating the forward element and spot element, and designating only the change in the spot element. HEDGING OF GROUP ENTITY TRANSACTIONS Hedging of group entity transactions is not applied in the consolidated financial statements of group entities, except for: Foreign currency risk on intra-group monetary items that are not fully eliminated on consolidation. Investment entities where transactions between the parent and subsidiaries measured at fair value are not subject to elimination adjustments. Hedging of group entity transactions is able to be applied in separate/individual financial statements of group entities. REBALANCING If the hedge ratio hedge effectiveness test ceases to be met, but the risk management objective is unchanged, an entity adjusts ( rebalances ), the hedge ratio so the criteria is once again met. DISCONTINUATION Hedge accounting is discontinued only if the qualifying criteria are no longer met (after applying rebalancing ). This including hedging instrument sale / termination / expiration, but excluding: Replacement/rollovers documented in the risk management objective Novations of hedging instruments (subject to specific criteria). ELIGIBLE HEDGED ITEMS Eligible hedged items are reliably measurable: assets; liabilities; unrecognised firm commitment; highly probable forecast transactions; net investment in a foreign operation. May be a single item, or a group of items (subject to additional criteria - below). (i) All items and (and components) are eligible hedged items (ii) The items are managed as a group for risk management purposes. HEDGES OF A GROUP OF ITEMS (ALL CRITERIA MUST BE MET) (iii) For group cash flow hedges: where cash flow variability is not expected to be approximately proportional to the overall group cash flows variability, both: Foreign currency is being hedged The reporting period, nature, and volume, in which the forecast transactions are expected to affect profit or loss is specified. Designation: An entity can designate a hedged item (i) in full (ii) in part (component). If in part, only the following types of parts (components) of hedged items can be hedged: One or more selected contractual cash flows Parts (components) of a nominal amount Separately identifiable and reliably measureable changes (cash flow or fair value) that, based on the context of the market structure they relate to, are attributable to a specific risk(s). (i) Cash flow hedge Hedge of exposure to cash flow variability in cash attributable to a particular risk associated with an asset, liability, or highly probable forecast transaction (or part thereof i.e. component). Recognition Hedge effectiveness is recognised in OCI Hedge ineffectiveness is recognised in profit or loss The lower of the cumulative gain or loss on the hedging instrument or fair value in the hedged item is recognised separately within equity (cash flow hedge reserve (CFHR)). For forecast transactions resulting in a non-financial asset/liability, the amount recognised in CFHR is removed and included in the initial cost of the non-financial asset/liability. This is not accounted for as a reclassification. For all other forecast transactions, the amount recognised in CFHR is reclassified to profit or loss in the periods when the cash flows are expected to affect profit or loss. ELIGIBLE HEDGED ITEMS (ii) Fair value hedge Hedge of exposure to fair value variability in an asset, liability, or unrecognised firm commitment (or part thereof i.e. component), attributable to a risk that could affect profit or loss. Recognition Gain or loss on hedging instrument: recognised in profit or loss (unless the hedging instrument is an equity instrument measured at fair value through OCI, then recognised in OCI). Gain or loss on hedged item: recognised in profit or loss (unless the hedged item is an equity instrument measured at fair value through OCI, then recognised in OCI). (iii) Hedges of a net investment in a foreign operation Hedge of an entity s interest in the net assets of a foreign operation. Recognition Hedge effectiveness is recognised in OCI 18 Hedge ineffectiveness is recognised in profit or loss Upon disposal of the foreign operation, accumulated amounts in equity are reclassified to profit or loss.

Page 1 of 2 IFRS 10 Consolidated Financial Statements SCOPE THE CONTROL MODEL Periods beginning on or after 1 January 2013 A parent is required to present consolidated financial statements, except if: It meets all the following conditions: - It is a subsidiary of another entity and all its other owners, including those not otherwise entitled to vote, have been informed about, and do not object to, the parent not presenting consolidated financial statements - Its debt or equity instruments are not traded in a public market - It did not, nor is in the process of filing, financial statements for the purpose of issuing instruments to the public - Its ultimate or any intermediate parent produces IFRS compliant consolidated financial statements available for public use. It is a post or long term-employment benefit plan to which IAS 19 Employee Benefits applies It meets the criteria of an investment entity (see page 2 of 2). Model An investor determines whether it is a parent by assessing whether it controls the investee. An investor is required continuously to reassess whether it controls an investee. An investor controls an investee if it has all of the following: Power over the investee Exposure, or rights, to variable returns from its involvement with the investee The ability to use its power, to affect the amount of the investor s returns. Considerations (refer to boxes below) The purpose and design of the investee What the relevant activities are and how decisions about those activities are made Whether the rights of the investor give it the current ability to direct the relevant activities Whether the investor is exposed, or has rights, to variable returns from its involvement Whether the investor has the ability to use its power to affect the amount of the investor s returns. Specific quantitative (i) Purpose disclosure and design requirements: (iii) Rights to direct relevant activities In assessing the purpose and design of the investee, consider: The relevant activities How decisions about relevant activities are made Who has the current ability to direct those activities Who receives returns from those activities. In some cases, voting rights (i.e. if unrelated to relevant activities) may not be the dominant factor of control of the investee. (ii) Relevant activities Relevant activities include (but are not limited to): Selling and purchasing of goods or services Managing financial assets during their life Selecting, acquiring or disposing of assets Researching/developing new products or processes Determining a funding structure or obtaining funding. Decisions on relevant activities include (but are not limited to): Establishing operating and capital decisions & budgets Appointing, remunerating, and terminating an investee s key management personnel (KMP) or service providers. Rights that, either individually or in combination, can give an investor power include (but are not limited to): Rights in the form of voting rights (or potential voting rights) of an investee Rights to appoint, reassign or remove members of an investee s key management personnel (KMP), or another entity that has the ability to direct the relevant activities Rights to direct the investee into (or veto any changes to) transactions for the benefit of the investor Other rights (such as decision-making rights specified in a management contract) that give the holder the ability to direct the relevant activities. Special relationships beyond a passive interest Sometimes there may be indicators present that an investor has more than simply a passive interest The presence of indicators alone may not satisfy the power criteria, but may add to other considerations: - The investee s KMP who direct relevant activities are current or previous employees of the investor - Investee operations are dependent on the investor (e.g. funding, guarantees, services, materials, etc.) - A significant portion of the investee activities involve, or are conducted on behalf of, the investor - Investee s exposure or rights to returns is disproportionally greater that it s voting (or similar) rights. Substantive rights Only substantive rights (i.e. rights that can be practically exercised) are considered in assessing power Factors to consider whether rights are substantive include (but are not limited to): - Whether there are barriers that prevent the holder from exercising (e.g. financial penalties, detrimental exercise or conversion price, detrimental terms and conditions, laws and regulations) - Whether there is a practical mechanism to facilitate multiple parties exercising rights - Whether the party holding the rights would benefit from the exercise of those rights - Whether the rights are actually exercisable when decisions about relevant activities need to be made. Protective rights Are designed to protect the interests of the holder, but do not give the holder power over the investee, e.g. operational lending covenants; non-controlling interest rights to approve significant transactions of capital expenditure, debt, and equity; seizure of assets by a borrower upon default Franchise arrangements are generally considered protective rights. Voting rights Power with a majority of voting rights, occurs where: Relevant activities are directed by vote; or A majority of the governing body is appointed by vote. Majority of voting right but no power occurs where: Relevant activities are not directed by vote Such voting rights are not substantive. De-facto control Power without a majority of voting rights, occurs where: Contractual arrangements with other vote holders exist Relevant activities directed by arrangements held The investor has practical ability to unilaterally direct relevant activities, considering all facts and circumstances: - Relative size and dispersion of other vote holders - Potential voting rights held by the investor and other parties - Rights arising from contractual arrangements - Any additional facts or circumstances (i.e. voting patterns). Potential voting rights Potential voting rights are only considered if substantive Must consider the purpose and design of the instrument. (iv) Exposure, or rights, to variable returns (i.e. returns that are not fixed, and vary as a result of performance of an investee) Based on the substance of the arrangement (not the legal form) assesses whether investee returns are variable, and how variable they are. Variable returns can be: only positive; only negative; or both positive and negative. Including: Dividends, other distributions of economic benefits from an investee (e.g. interest from debt securities issued by the investee) and changes in the value of the investor s investment in that investee Fees from servicing assets or liabilities, fees and exposure to loss from providing credit or liquidity support, residual interests in net assets on liquidation, tax benefits, and access to future liquidity Returns unavailable to other interest holders synergies, economies of scale, cost savings, sourcing scarce products, access to proprietary knowledge, limiting operations or assets to enhance the value of the investor s other assets. 19

Page 2 of 2 IFRS 10 Consolidated Financial Statements (v) Link between power and returns delegated power Periods beginning on or after 1 January 2013 INVESTMENT ENTITIES When an investor with decision-making rights (a decision maker (DM)) assesses whether it controls an investee, it determines whether it is a principal or an agent. An agent is primarily engaged to act on behalf of the principal and therefore does not control the investee when it exercises its decision-making authority An investor may delegate its decision-making authority to an agent on specific issues or on all relevant activities. When assessing whether it controls an investee, the investor treats the decision-making rights delegated to its agent as held by itself directly A DM considers the relationship between itself, the investee and other parties involved, in particular the following factors below, in determining whether it is an agent. Scope of decision making authority Activities permitted in agreements and specified by law: Discretion available on making NON-CONTROLLING INTERESTS Rights held by other parties May affect the DM s ability to direct relevant activities Specific quantitative disclosure requirements: decisions Purpose and design of the investee: - Risks the investee was designed to be exposed to - Risks to be passed to other involved parties - Level of involvement of DM in design of the investee. Removal rights, or other rights, may indicate that the DM is an agent Rights to restrict activities of the DM are treated the same as removal rights. RELATIONSHIP WITH OTHER PARTIES In assessing control an investor considers the nature of relationships with other parties and whether they are acting on the investor s behalf (de facto agents). Such a relationship need not have a contractual arrangement, examples may be: The investor s related parties A party whose interest in the investee is through a loan from the investor A party who has agreed not to sell, transfer, or encumber its interests in the investee without the approval of the investor A party that cannot fund its operations without investor (sub-ordinated) support An investee where the majority of the governing body or key management personal are the same as that of the investor A party with a close business relationship with the investor. A parent presents non-controlling interests in the consolidated statement of financial position within equity, separately from the equity of the owners of the parent Changes in a parent s ownership interest in a subsidiary that do not result in the parent losing control of the subsidiary are equity transactions. Remuneration The greater the magnitude of, and variability associated with the DM s remuneration relative to returns, the more likely the DM is a principal. DM s consider if the following exists: Remuneration is commensurate with the services provided The remuneration includes only terms customarily present in arrangements for similar services and level of skills negotiated on an arm s length basis. Returns from other interests An investor may hold other interests in an investee (e.g. investments, guarantees). In evaluating its exposure to variability of returns from other interests in the investee the following are considered: The greater the magnitude of, and variability associated with, its economic interests, considering its remuneration and other interests in aggregate, the more likely the DM is a principal Whether the variability of returns is different from that of other investors and, if so, whether this might influence actions. CONTROL OF SPECIFIED ASSETS (SILOS) An investor considers whether it treats a portion of an investee as a deemed separate entity and whether it controls it. Control exists if and only if, the following conditions are satisfied: (i) Specified assets of the investee (and related credit enhancements, if any) are the only source of payment for specified liabilities of, or specified other interests in, the investee (ii) Parties other than those with the specified liability do not have rights or obligations related to the specified assets or to residual cash flows from those assets (iii) In substance, returns from the specified assets cannot be used by the remaining investee and none of the liabilities of the deemed separate entity are payable from the assets of the remaining investee. Thus, in substance, all the assets, liabilities and equity of that deemed a separate entity are ring-fenced from the overall investee. Such a deemed separate entity is often called a silo. LOSS OF CONTROL Derecognition of the assets and liabilities of the former subsidiary from the consolidated statement of financial position Recognition of any investment retained in the former subsidiary at its fair value when control is lost and subsequently accounts for it and for any amounts owed by or to the former subsidiary in accordance with relevant IFRSs. Subsidiary constitutes a business Subsidiary does not constitute a business Investment entities are required to measure interests in subsidiaries at fair value through profit or loss in accordance with IFRS 9 Financial Instruments (IAS 39) instead of consolidating them. Definition of an investment entity Obtains funds from one or more investors for the purpose of providing those investor(s) with investment management services Commits to its investor(s) that its business purpose is to invest funds solely for returns from capital appreciation, investment income, or both Measures and evaluates performance of substantially all of its investments on a fair value basis. Other typical characteristics (not all have to be met, but if not met additional disclosures are required): More than one investment More than one investor Investors not related parties of the entity Ownership interests in the form of equity or similar interests. CONSOLIDATION PROCEDURES Consolidation procedures: Combine assets, liabilities, income, expenses, cash flows of the parent and subsidiary Eliminate parent s investment in each subsidiary with its portion of the subsidiary s equity Fully eliminate intra group transactions and balances. Parent and subsidiaries must have uniform accounting policies and reporting dates. If not, alignment adjustments must be quantified and posted to ensure consistency. Reporting dates cannot vary by more than 3 months. Consolidation of an investee begins from the date the investor obtains control of the investee and ceases when the investor loses control of the investee. DISCLOSURE Recognition of the gain or loss Recognition of the gain or loss in profit or loss to the extent of the associated with the loss of unrelated investors interest in the associate or joint venture. The control in profit or loss. remaining part is eliminated against the carrying amount of the investment Refer to IFRS 12 Retained interest is an associate or joint venture using the equity method: Disclosure of Interests in Other Entities. Recognition of the gain or loss in profit or loss to the extent of the unrelated investors TRANSITION REQUIREMENTS Retained interest accounted for at fair value in accordance with IFRS 9: Recognition of the gain or loss in full in profit or loss. Refer to Appendix C of IFRS 10. 20

Page 1 of 2 IFRS 11 Joint Arrangements SCOPE Periods beginning on or after 1 January 2013 IFRS 11 applies to all parties subject to a joint arrangement. A joint arrangement (JA): Binds the parties by way of contractual agreement (does not have to be in writing, instead it is based on the substance of the dealings between the parties) Gives two (or more) parties joint control. Joint arrangements are classified either as: Joint operation - parties have rights to the assets, and obligations for the liabilities of the JA Joint venture - parties have rights to only the net assets of the JA. JOINT CONTROL (JOINT DE-FACTO CONTROL, SUBSTANTIVE RIGHTS, PROTECTIVE RIGHTS) Joint control Joint control is based on the same control principle as IFRS 10 Consolidation (i.e. Power, exposure to variable returns, ability to use power to affect variable returns). Joint control is the contractually agreed sharing of control in relation to decisions regarding the relevant activities and requires the unanimous consent of the controlling parties (refer to IFRS 10 for definition of relevant activities). This can be explicit or implicit: E.g. joint control exists if two parties hold 50% voting rights, and a 51% majority is required to make decisions regarding relevant activities E.g. joint control does not exists if, after considering all contractual agreements, the minimum required majority of voting rights can be achieved by more than one combination of parties agreeing together. Joint de-facto control Joint de-facto control is based on the same de-facto control principle as IFRS 10. Joint de-facto control only exists if the parties are contractually bound to vote together in relation to decisions on relevant activities. In assessing joint de-facto control, an entity may consider previous voting attendance, but not previous voting results (i.e. whether other parties historically voted the same way as the entity). Substantive and protective rights The assessment of substantive and protective rights is based on the same principles as IFRS 10: Substantive rights (rights that can be practically exercised) are considered in assessing power Protective rights (rights designed to protect the interests of the holder) are not considered in assessing power. Arrangements are not within the scope of IFRS 11.if joint control (or joint de-facto control) does not exist (i.e. no contractual unanimous consent required for decisions that relate to the relevant activities of the arrangement). CLASSIFICATION OF JOINT ARRANGEMENTS (AS EITHER JOINT OPERATIONS OR JOINT VENTURES) Classification depends upon the assessment of the rights and obligations of the parties, and considers the JA s: (i) Structure; (ii) Legal form; (iii) Contractual terms; (iv) Other facts and circumstances (refer to boxes below). (i) Structure JAs not structured through a separate vehicle are classified as a joint operation. JAs structured through a separate vehicle may be classified as a either a joint operation or joint venture depending on analysis of (i),(ii),(iii) below. (ii) Legal form The legal form of the separate vehicle may be relevant in determining whether parties have rights to assets and obligations for liabilities, or the rights to net assets of the JA. However, must consider whether any contractual terms (iii) and/or other facts and circumstances (iv) impact the rights of the parties conferred by the legal form. Partnerships: legal form that may give the parties rights to assets and liabilities, rather than net assets. JA therefore may be classified as a joint operation or joint venture depending on the rights and obligations that the parties to the arrangement have and the legal environment of in the country of incorporation.. Unlimited liability vehicles: Legal form does not give parties rights to assets, merely guarantees liabilities. JA is therefore classified as a joint venture. (iii) Contractual terms Usually, the rights and obligations agreed in the contractual terms are consistent, or do not conflict, with those conferred by legal form (ii). However parties must assess contractual terms to confirm is in fact the case. On their own, guarantees provided to third parties, and obligations for unpaid or additional capital do not result in an obligation for liabilities and hence classification as a joint operation. (iv) Other facts and circumstances Other facts and circumstances may: Give parties rights to substantially all economic benefits from the JA Cause the JA to depend on the parties to continuously settle its liabilities. E.g. JAs designed to primarily sell output to the parties give the parties substantially all economic benefits, and means the JA relies on cash flows from the parties to settle its liabilities. JA is therefore classified as a joint operation. 21

Page 2 of 2 IFRS 11 Joint Arrangements RECOGNITION AND MEASUREMENT: JOINT CONTROLLING PARTIES Periods beginning on or after 1 January 2013 Joint operations a) Its assets, including its share of any assets held jointly Consolidated/Individual Financial Statements A joint operator recognises in relation to interest in a joint operation: a) Its assets, including its share of any assets held jointly b) Its liabilities, including its share of any liabilities incurred jointly c) Its revenue from the sale of its share of the output arising from the joint operation d) Its expenses, including its share of any expenses incurred jointly. The above are accounted for in accordance with the applicable IFRSs. Separate Financial Statements Same treatment as for consolidated/individual financial statements detailed above. Consolidated/Individual Financial Statements Joint ventures Apply the equity method in accordance with IAS 28 Investments in Associates and Joint Ventures (unless the entity is exempted from applying the equity method) 1. Separate Financial Statements Recognise interest either: At cost As a financial asset in accordance with IFRS 9 Financial Instruments or IAS 39 Financial Instruments: Recognition and Measurement. RECOGNITION AND MEASUREMENT: ENTITIES THAT PARTICIAPTE, BUT DO NOT HAVE JOINT CONTROL ( NON-JOINT CONTROLLING PARTIES ) In some instances, there may be other parties who are investees in a joint arrangement but do not themselves have joint control of the joint arrangement. Joint operations (non-joint controlling party has contractual rights and obligations to assets, liabilities, expenses, and revenues) Account for its contractual share of assets, liabilities, expenses, and revenues in both its Consolidated/Individual financial statements Separate financial statements. Joint ventures Identical to joint operations where the non-joint controlling party does not have contractual rights and obligations to assets, liabilities, expenses and revenues (i.e. assess for significant influence, and then account for accordingly). Joint operations (non-joint controlling party does not have contractual rights and obligations to assets, liabilities, expenses, and revenues) Consolidated/Individual Financial Statements Assess for significant influence in accordance with IAS 28 (i.e. as an associate): If present: apply the equity method 1 in accordance with IAS 28 (unless the entity is exempted from applying the equity method) 1. If not present: financial asset (IAS 39/IFRS 9). Separate Financial Statements Assess for significant influence in accordance with IAS 28: If present: either (i) at cost (ii) financial asset (IAS 39/IFRS 9) If not present: financial asset (IAS 39/IFRS 9). 1 Equity method exemption Venture capital organisation, mutual funds, unit trusts, investment-linked insurance funds, and similar entities may elect to measure associates and joint ventures at fair value through profit or loss in accordance with IFRS 9 Financial Instruments rather than apply the equity method. DISCLOSURE Refer to IFRS 12 Disclosure of Interests in Other Entities. TRANSITION REQUIREMENTS The general principle of retrospective application applies to the adoption of IFRS 11. However Appendix C of IFRS 11 contains a number of simplified transition requirements and relief from certain disclosures usually required with retrospective application, including: Retrospective application from the beginning of the immediately preceding period (i.e. not the earliest period presented) Disclosure of the effect of the change in accounting policy (IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors paragraph 28(f)) only for the immediately preceding period (i.e. not the current period or any other earlier period presented). Appendix C of IFRS 11 also contains specific transition application guidance in respect of: Joint ventures transition from proportionate consolidation to the equity method Joint operations transition from the equity method to accounting for assets and liabilities Transition provisions in an entity s separate financial statements. Amendments to IFRS 11 (Effective 1 January 2016) An entity is required to apply all of the principles of IFRS 3 Business Combinations when it acquires an interest in a joint operation that constitutes a business as defined by IFRS 3. 22

Page 1 of 2 IFRS 12 Disclosure of Interests in Other Entities SCOPE Applied by entities that have an interest in: Subsidiaries; joint arrangements, associates; and unconsolidated structured entities. IFRS 12 does not apply to: Post-employment benefit plans or other long-term employee benefit plans to which IAS 19 Employee Benefits applies Separate financial statements, where IAS 27 Separate Financial Statements applies An interest held by an entity that participates in, but does not have joint control or significant influence over, a joint arrangement Specific quantitative disclosure require: Interests accounted for in accordance with IFRS 9 Financial Instruments, except for Interests in an associate or joint venture measured at fair value as required by IAS 28 Investments in Associates and Joint Ventures. Some, but not all, disclosure requirements apply to interests classified as held for sale in accordance with IFRS 5. DEFINITIONS Structured entity - An entity that has been designed so that voting or similar rights are not the dominant factor in deciding who controls the entity, such as when any voting rights relate to administrative tasks only and the relevant activities are directed by means of contractual arrangements. Income from a structured entity Includes (but not is limited to) fees, interest, dividends, gains or losses on the remeasurement or derecognition of interests in structured entities and gains or losses from the transfer of assets and liabilities to the structured entity. Interest in another entity - Refers to contractual and non-contractual involvement that exposes an entity to variability of returns from the performance of the other entity. Evidenced by holding: debt instruments, equity instruments, and other forms of involvement. The following terms used in IFRS 12 are defined in IAS 27 Separate Financial Statements, IAS 28 Investments in Associates and Joint Ventures IFRS 10 Consolidated Financial Statements, and IFRS 11 Joint Arrangements: Associate; consolidated financial statements; control of an entity; equity method; group; joint arrangement; joint control; joint operation; joint venture; non-controlling interest (NCI); parent; protective rights; relevant activities; separate financial statements; separate vehicle; significant influence; and subsidiary. Periods beginning on or after 1 January 2013 SIGNIFICANT JUDGEMENTS AND ASSUMPTIONS Disclose information about significant judgements and assumptions the made (and changes to those judgements and assumptions) in determining: Control over another entity Joint control over an arrangement Significant influence over another entity When a joint arrangement has been structured through a separate vehicle, its classification (i.e. joint operation or joint venture). (a) INTERESTS IN SUBSIDIARIES REQUIRED DISCLOSURES Information that enables users To understand: (i) The composition of the group and the interest that NCI s have in the group s activities and cash flows. To evaluate: (ii) The nature and extent of significant restrictions on the ability to access or use assets, and settle liabilities, of the group (iii) The nature of, and changes in, the risks associated with interests in consolidated structured entities (iv) The consequences of changes in ownership interest in a subsidiary that do not result in a loss of control (v) The consequences of losing control of a subsidiary during the reporting period. (vi) (i) Composition of the group and NCI interests in group activities Composition of the group For each of subsidiary with material NCI s: Name of the subsidiary Principal place of business and country of incorporation of the subsidiary Proportion of ownership interests held by NCI Proportion of NCI voting rights, if different from the proportion of ownership interests held Profit or loss allocated to non-controlling interests of the subsidiary during the reporting period Accumulated NCI of the subsidiary at the end of the reporting period Summarised financial information about the subsidiary. (ii) Nature and extent of restrictions (iv) Consequences of changes in a parent s ownership interest in a subsidiary that do not result in a loss of control Present a schedule showing the effects on the equity (attributable to owners of the parent) of any changes in ownership interest that do not result in a loss of control. Significant restrictions on ability to access or use the assets and settle the liabilities of the group, such as: Those that restrict the ability to transfer cash or other assets to (or from) other entities within the group Guarantees or other requirements that may restrict dividends and other capital distributions being paid, or loans and advances being made or repaid, to (or from) other entities within the group. The nature and extent to which protective rights of NCI can significantly restrict the entity s ability to access or use the assets and settle the liabilities of the group. The carrying amounts of the assets and liabilities to which those restrictions apply. (v) Consequences of losing control of a subsidiary (iii) Nature of risks in consolidated structured entities (CSE) Terms of any contractual arrangements that could require the parent or its subsidiaries to provide financial support to a CSE. If financial or other support has been provided to a CSE in the absence of a contractual obligation to do so: The type and amount of support provided, including obtaining financial support, and The reasons for providing the support. If financial (or other) support has been provided to a previously unconsolidated structured entity that resulted in control, explanation of the relevant factors in reaching that decision. Any current intentions to provide financial (or other) support to a consolidated structured entity (including any intentions to assist in obtaining financial support). Disclose the gain or loss, if any, and: The portion of that gain or loss attributable to measuring any investment retained in the former subsidiary at its fair value at the date when control is lost The line item(s) in profit or loss in which the gain or loss is recognised. 23

Page 2 of 2 IFRS 12 Disclosure of Interests in Other Entities (b) INTERESTS IN JOINT ARRANGEMENTS AND ASSOCIATES REQUIRED DISCLOSURES Periods beginning on or after 1 January 2013 Information that enables users to evaluate: (i) (ii) The nature of, and changes in, risks associated with interests held The nature, extent, and financial effects of interests in joint arrangements and associates (including contractual relationships with the other investors with joint control or significant influence). (i) Risks associated with an entity s interests in joint ventures and associates Commitments relating to joint ventures Contingent liabilities incurred relating to joint ventures or associates (including its share of contingent liabilities incurred jointly with other investors), unless the probability of loss is remote. (ii) Nature, extent and financial effects of an entity s interests in joint arrangements and associates The name of the joint arrangement or associates The nature of the entity s relationship with the joint arrangement or associate The principal place of business (and country of incorporation, if applicable and different from the principal place of business) of the joint arrangement or associate The proportion of ownership interest or participating share held by the entity and, if different, the proportion of voting rights held (if applicable) Measurement: whether equity method or at fair value If measured using equity method: the fair value of its investment in the joint venture or associate (if a quoted market price is available) Summarised financial information about the joint venture or associate. Specific quantitative disclosure requirement: Financial information about the entity s investments in joint ventures and associates that are not individually material: - In aggregate for all individually immaterial joint ventures - In aggregate for all individually immaterial associates. The nature and extent of any significant restrictions on the ability of joint ventures or associates to transfer funds to the entity in the form of cash dividends, or to repay loans or advances made by the entity When there is a difference in reporting date of a joint venture or associate s financial statements used in applying the equity method: - The date of the end of the reporting period of the financial statements of that joint venture or associate. - The reason for using a different date or period. The unrecognised share of losses of a joint venture or associate, both for the reporting period and cumulatively, if the entity has stopped recognising its share of losses of the joint venture or associate when applying the equity method. (c) INTERESTS IN UNCONSOLIDATED STRUCTURED ENTITIES (UCSE) REQUIRED DISCLOSURES Information that enables users To understand: (i) The nature and extent of its interests in UCSE. To evaluate: (ii)the nature of, and changes in, the risks associated with its interests in UCSE. Including, information about the exposure to risk from involvement in previous periods (even if the entity no longer has any contractual involvement with the entity at reporting date). (i) Nature of interests Qualitative and quantitative information, including (but not limited to): Nature, purpose, size and activities of the structured entity and how the structured entity is financed. If an entity has sponsored UCSE, for which it does not provide information (e.g. because it holds no interest at reporting date), disclose: How it has determined which structured entities it has sponsored Income from those structured entities during the reporting period, including a description of types of income presented The carrying amount (at the time of transfer) of all assets transferred to those structured entities during the reporting period. An entity is required to present the information above: In tabular format (unless another format is more appropriate) Classify its sponsoring activities into relevant categories. (ii) Nature of risks Disclose in tabular format (unless another format is more appropriate) a summary of: The carrying amounts of the assets and liabilities recognised in its financial statements relating to interests in UCSE. The line items in the statement of financial position in which those assets and liabilities are recognised The amount that best represents the entity s maximum exposure to loss from its interests in UCSE, including how the maximum exposure to loss is determined. If an entity cannot quantify its maximum exposure to loss from its interests in UCSE it is required to disclose that fact and the reasons A comparison of the carrying amounts of the assets and liabilities of the entity that relate to its interests in UCSE and the entity s maximum exposure to loss from those entities. If during the reporting period an entity has, without having a contractual obligation to do so, provided financial (or other) support to an UCSE in which it previously had or currently has an interest, disclose: The type and amount of support provided, including situations in which the entity assisted the structured entity in obtaining financial support The reasons for providing the support. An entity is required to disclose any current intentions to provide financial or other support to UCSE, including intentions to assist the structured entity in obtaining financial support. TRANSITION REQUIREMENTS Refer to Appendix C of IFRS 12. 24

Page 1 of 2 SCOPE AND SCOPE EXEMPTIONS IFRS 13 Fair Value Measurement DEFINITION OF FAIR VALUE Periods beginning on or after 1 January 2013 IFRS 13 applies when another IFRS requires or permits fair value measurements (both initial and subsequent) or disclosures about fair value measurements, except as detailed below: Exemption from both measurement and disclosure requirements: Share-based payment transactions within the scope of IFRS 2 Share-based Payment Leasing transactions within the scope of IAS 17 Leases Measurements that have some similarities to fair value, but are not fair value, such as: - Net realisable value in IAS 2 Inventories - Value-in-use in IAS 36 Impairment of Assets. Exemption from disclosure requirements only: Plan assets measured at fair value in accordance with IAS 19 Employee Benefits Retirement benefit plan investments measured at fair value in accordance with IAS 26 Accounting and Reporting by Retirement Benefit Plans Assets for which recoverable amount is fair value less costs of disposal in accordance with IAS 36. Specific quantitative disclosure requirement: Fair Value: measurement-date price received to sell and asset, or paid to transfer a liability, in an orderly transaction between market participants. Price The price is determined at measurement date under current market conditions (i.e. an exit price). This is regardless of whether that price is directly observable or estimated using another valuation technique. Asset or liability Fair value considers specific characteristics: Asset condition and location Any restrictions on the sale. Transaction Is assumed to takes place either in: The principal market (i.e. market with the greatest volume and level of activity), or in the absence of a principal market The most advantageous market (i.e. the market that maximises /minimises the amount received/ paid, after transaction and transport costs). Market participants Fair value of an asset or liability is measured using the assumptions that market participants would use when pricing the asset or liability (assuming they act in their own economic best interest) Market participants do not need to be identified. Fair value measurement of non-financial assets considers a market participant s ability (not the entity s) to either: Generate economic benefits by using the asset in its HBU Sell the asset to another market participant who would then use the asset in its HBU. Factors to consider in determining HBU: Physically possible Legally permitted Financially viable. APPLICATION TO NON-FINANCIAL ASSETS Highest and best use (HBU) Valuation premise stand alone Valuation premise combination If the HBU is on a stand-alone basis: Fair value is the price that would be received in a current sale, to a market participant, that would use the asset on a standalone basis. APPLICATION TO LIABILITIES AND AN ENTITY S OWN EQUITY INSTRUMENTS If the HBU is in combination with other assets: Fair value is the price that would be received in a current sale. to market participants. assuming the asset will be used in combination with those assets (which are also assumed to be available to the market participants). General principles Whether held (or not held) by other parties as assets Liabilities: Assume that these would remain outstanding and the market participant transferee would be required to fulfil the obligation. The liability would not be settled with the counterparty or otherwise extinguished on the measurement date. Entity s own equity instruments: Assume that these would remain outstanding and the market participant transferee would take on the rights and responsibilities associated with the instrument. The instrument would not be cancelled or otherwise extinguished on measurement date. When a quoted price for the transfer of an identical (or a similar) liability or entity s own equity instrument is not available, and that identical (or similar) item is held by another party as an asset: Measure the fair value of from the perspective of a market participant that holds the identical item as an asset at the measurement date, by: - Using the quoted price in an active market for the identical item, or if not available - Using other observable inputs, or if not available - Using another valuation technique (i.e. income approach, or market approach). When a quoted price for the transfer of an identical (or a similar) liability or entity s own equity instrument is not available, and that identical (or similar) item is not held by another party as an asset: Measure the fair value using a valuation technique from the perspective of a market participant that either: - Owes the liability - Has issued the claim on equity. Restriction preventing transfer Liabilities Non-performance risk, and liabilities with a demand feature The inclusion of a separate input (or an adjustment to other inputs) relating to the existence of a restriction that prevents the transfer of the item liability or entity s own equity instrument, is not permitted when determining fair value. The effect of such a restriction is either implicitly or explicitly included in the other inputs to the fair value measurement. Non-performance risk (NPR) NPR is reflected in the fair value of a liability and includes (but is not limited to) an entity s own credit risk NPR is assumed to be the same before and after the transfer of the liability NPR considers the effect of an entity s credit risk and any other factors that might influence the likelihood that the obligation will or will not be fulfilled. That effect may differ depending on the liability, for example: - Whether the liability is an obligation to deliver cash (a financial liability), or an obligation to deliver goods or services (a non-financial liability) - The terms of credit enhancements related to the liability, if any. Liabilities with a demand feature (i.e. a demand deposit ) Fair value is not less than the amount payable on demand, discounted from the first date that the amount could be required to be paid. 25

Page 2 of 2 Specific quantitative disclosure IFRS 13 Fair Value Measurement Periods beginning on or after 1 January 2013 APPLICATION TO FINANCIAL ASSETS AND FINANCIAL LIABILITIES WITH OFFSETTING POSITIONS IN MARKET RISKS OR COUNTERPARTY CREDIT RISK An entity that holds a group of financial assets and financial liabilities is exposed to: (i) Market risks (ii)credit risk of each of the counterparties. If these are managed on either a market risk or a credit risk net exposure basis: The entity is permitted to apply an exception ( offsetting exemption ) to IFRS 13 for measuring fair value. Fair value would be based on the price: - Received to sell a net long position (i.e. an asset) for a particular risk exposure, or - To transfer a net short position (i.e. a liability) for a particular risk exposure in an orderly transaction between market participants. Fair value of this offset group of financial assets and financial liabilities is made consistently with how market participants would price the net risk exposure. Offsetting exemption (i) Exposure to market risk (ii) Exposure to credit risk Can only be used if the entity does all the following: Manages the offset group on the basis of net exposure to a particular market risk (or risks) or to the credit risk of a particular counterparty in accordance with the entity s documented risk management or investment strategy. Provides information on that basis about the offset group to the entity s key management personnel, as defined in IAS 24 Related Party Disclosures. Is required (or has elected) to measure the offset group at fair value in the statement of financial position at the end of each reporting period. The exception does not relate to presentation. IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors must be applied when using the offsetting exception. When using the offsetting exception: Apply the price within the bid-ask spread that is most representative of fair value in the circumstances to the entity s net exposure to those market risks Ensure that the market risk (or risks) within the offset group are substantially the same: - Any basis risk resulting from the market risk parameters not being identical are taken into account in the fair value measurement of the financial assets / liabilities within the offset group - Similarly, the duration of the entity s exposure to a particular market risk (or risks) arising from the financial assets and financial liabilities of the offset group must be substantially the same. When using the offsetting exception: Include the effect of the entity s net exposure to the credit risk of that counterparty s net exposure to the credit risk of the entity in the fair value measurement when market participants would take into account any existing arrangements that mitigate credit risk exposure in the event of default. Fair value is required to reflect market participants expectations about the likelihood that such an arrangement would be legally enforceable in the event of default. FAIR VALUE AT INITIAL RECOGNITION FAIR VALUE HIERARCHY RECURRING OR NON-RECURRING UNIT OF ACCOUNT The transaction price is the price paid / received to acquire an asset or to assume a liability (i.e. entry price). In contrast, fair value is the price that would be received to sell the asset or paid to transfer the liability (i.e. exit price). However, in many cases the transaction price will equal the fair value however it is still necessary to take into account factors specific to the transaction and to the asset or liability. VALUATION TECHNIQUES Must use appropriate valuation techniques in the circumstances and for which sufficient data are available to measure fair value. Changes in the valuation technique or its application are accounted for as a change in accounting estimate in accordance with IAS 8. Inputs to valuation techniques Must aim to maximise the use of relevant observable inputs and minimise the use of unobservable inputs. If an asset/liability measured at fair value has both a bid and ask price, the price within the bid-ask spread that is most representative of fair value is used - regardless of where the input is categorised within the fair value hierarchy. TRANSITION REQUIREMENTS Refer to Appendix C of IFRS 13. IFRS 13 includes a fair value hierarchy that categorises the inputs to valuation techniques used to measure fair value into three (input) levels: Level 1: Observable quoted prices, in active markets Level 2: Quoted prices are not available but fair value is based on observable market data Level 3: Unobservable inputs. The level of an item is based on its lowest input level. Disclosure requirement Fair value at reporting date Reasons for fair value measurement Fair value hierarchy level i.e. Level 1, 2, or 3 Transfers between Level 1 and 2 (including reasons for the transfer and the entity s policy for transfer) Valuation technique, inputs, changes, reasons for change etc. - Level 2 and 3 Level 3 valuation processes /policies Level 3 unobservable inputs RFVM X NRFVM X X IFRS 13 requires specific disclosures based on whether fair value measurement is recurring (RFVM) or non-recurring (NRFVM). RFVM and NRFVM are not defined in IFRS 13. However, in general: RFVM: Fair value measurement is required at reporting date by other IFRSs (e.g. investment property, biological assets etc.) NRFVM: Fair value measurement is triggered by particular events/circumstances (e.g. assets held for sale under IFRS 5 etc.). FV Disclosed X X X X X X X X X X X DISCLOSURE Disclosure requirement Level 3 reconciliation of total gains or losses in P&L and OCI, purchases, sales issues, settlements, and transfers Level 3 unrealised gains /losses recognised in P&L Level 3 sensitivity to changes in unobservable inputs (Qualitative for non-financial instruments, quantitative for financial instruments) In most cases, the unit of account is not specified by IFRS 13. Instead, the unit of account is specified by the IFRS that permits or requires fair value measurement and disclosure of the item. RFVM NRFVM FV Disclosed Reasons if HBU differs from current use X X X FV Disclosed X X X 26 Refers to items that are measured on a basis other than fair value, but where applicable IFRSs require the items fair value to be determined and disclosed.

Page 1 of 1 The EU will not endorse this standard IFRS 14 Regulatory Deferral Accounts SCOPE DEFINITIONS Periods beginning on or after 1 January 2016 Does the entity conduct rate-regulated activities? Are these the entity s first annual IFRS financial statements? Yes Specific quantitative disclosure requirement: Does the entity have regulatory deferral balances recognised in accordance with its previous GAAP? Yes Yes No Has the entity recognised regulatory deferral balances that it has previously elected to recognise in accordance with this IFRS? Yes Entity is within the scope of IFRS 14 No No Entity is outside scope of IFRS 14 Rate regulation: A framework that establishes prices for goods and/or services that are subject to the oversight/approval of a rate regulator. Previous GAAP: The basis of accounting used immediately prior to a first-time adopter adopting IFRS. Statement of financial position Rate-regulated activities: Activities that are subject to rate regulation. Rate regulator: A body that has been empowered through statute or legislation to establish (a range of) rates that bind an entity. First-time adopter: An entity presenting its first IFRS financial statements. The total of regulatory deferral account debit balances, and regulatory deferral account credit balances, are presented separately from, and after, al other items. They are not split into current and non-current portions. PRESENTATION Regulatory deferral account balance: A balance that would not otherwise be recognised in accordance with other IFRSs, but qualifies for deferral as it is (expected to be) included in establishing the (range of) rates. First IFRS financial statements: An entity s first financial statements in which there is an unreserved statement of compliance with IFRS. Statement of profit or loss and other comprehensive income The net movements in regulatory deferral account balances related to both: Profit or loss, and Other comprehensive income. Are presented separately from, and after, all other items and subtotalled appropriately. RECOGNITION AND MEASURMENT INTERACTION WITH OTHER IFRSs - APPLICATION GUIDANCE WITHIN IFRS 14 An entity within the scope of IFRS 14 is able to make a voluntary irrevocable election in its first annual IFRS financial statements whether or not to recognise regulatory deferral balances in accordance with IFRS 14. An entity that has elected to apply IFRS 14 in its first annual IFRS financial statements, continues to apply the recognition, measurement, impairment and derecognition requirements in accordance with its previous GAAP to all its regulatory deferral account balances. Changes are only permitted if they result in the financial statements being either: More relevant and no less reliable, or More reliable and no less relevant. Estimates used in determining regulatory deferral account balances (IAS 10) Scope of income tax requirements (IAS 12) Where rates are permitted or required to be increased to recover some or all of an entity s tax expense (IAS 12) Presentation with respect to income taxes (IAS 12) Consistent accounting policies for associates and joint ventures (IAS 28) Presentation of basic and diluted earnings per share (IAS 33) Impairment of regulatory deferral account balances (IAS 36) Impairment of cash generating units (CGU) containing regulatory deferral account balances (IAS 36). Recognition and measurement of regulatory deferral account balances in an acquiree (IFRS 3) Presentation in respect of non-current assets held for sale and discontinued operations (IFRS 5) Consistent accounting policies for subsidiaries (IFRS 10) Disclosures of regulatory deferral account balances in material subsidiaries with noncontrolling interests, material joint ventures, and material associates (IFRS 12) Disclosures of gain or loss on the loss of control over a subsidiary (IFRS 12). DISCLOSURE IFRS 14 requires a number of disclosures to enable users to assess: The nature of and risks associated with the rate regulation the entity is exposed to The effects of that rate regulation of the entity s financial position and financial performance. 27

Page 1 of 4 SCOPE IFRS 15 Revenue from Contracts with Customers DEFINITIONS Periods beginning on or after 1 January 2018 Applies to all contracts with customers, except: - Lease contracts (refer to IAS 17) - Insurance contracts (refer to IFRS 4) - Financial instruments and other contractual rights or obligations (refer to IFRS 9/IAS 39, IFRS 10, IFRS 11, IAS 27, and IAS 28) - Certain non-monetary exchanges. Contract: An agreement between two or more parties that creates enforceable rights and obligations. Customer: A party that has contracted with an entity to obtain goods or services that are an output of the entity s ordinary activities in exchange for consideration. Revenue: Income arising in the course of an entity s ordinary activities. Income: Increases in economic benefits in the form of inflows or enhancements of assets or decreases of liabilities that result in an increase in equity (other than those from equity participants). Distinct: Refer to Step 2 below. Stand-alone selling price: The price at which a good or service would be sold separately to a customer. Performance obligation: A promise to transfer to the customer either: (i) A distinct (bundle of) good(s) or service(s) (ii) A series of substantially the same distinct goods or services that have the same pattern of transfer to the customer, and the pattern of transfer is both over time and represents the progress towards complete satisfaction of the performance obligation. Specific quantitative disclosure requirement: THE FIVE STEP MODEL Revenue from contracts with customers is recognised based on the application of a principle-based five step model: Step 1 and 2 Identify Step 3 Determine Step 4 Allocate Step 5 Recognise the contract the performance obligation(s) the transaction price the transaction price to each performance obligation revenue when each performance obligation is satisfied STEP 1 IDENTIFY THE CONTRACT Features of a contract under IFRS 15 Contracts, and approval of contracts, can be written, oral or implied by an entity s customary business practices. IFRS 15 requires contracts to have all of the following attributes: - The contract has been approved - The rights and payment terms regarding goods and services to be transferred can be identified - The contract has commercial substance - It is probable that the consideration will be received (considering only the customer s ability and intention to pay). If each party to the contract has a unilateral enforceable right to terminate a wholly unperformed contract without compensating the other party (or parties), no contract exists under IFRS 15. Combining multiple contracts Contracts are combined if they are entered into at (or near) the same time, with the same customer, if either: - The contracts are negotiated as a package with a single commercial objective - The consideration for each contract is interdependent on the other, or - The overall goods or services of the contracts represent a single performance obligation. Contract modifications A change in enforceable rights and obligations (i.e. scope and/or price) is only accounted for as a contract modification if it has been approved, and creates new or changes existing enforceable rights and obligations. Contract modifications are accounted for as a separate contract if, and only if: - The contract scope changes due to the addition of distinct goods or services, and - The change in contract price reflects the standalone selling price of the distinct good or service. Contract modifications that are not accounted for as a separate contract are accounted for as either: (i) (ii) (iii) Replacement of the original contract with a new contract (if the remaining goods or services under the original contract are distinct from those already transferred to the customer) Continuation of the original contract (if the remaining goods or services under the original contract are not distinct from those already transferred to the customer, and the performance obligation is partially satisfied at modification date). Mixture of (i) and (ii) (if elements of both exist). 28